Construction of a new Beijing airport in Daxing, a district in the south of the city, began in December, 2014. Within that short period of time some of the project's effects on the surrouding area have been readily apparent. Housing prices have gone up, and industries have begun laying plans to move into the area, in line with the government's blueprint for developing the Beijing-Tianjin-Hebei area. At the same time, some have complained the project will only make an already-crowded city more congested and unlivable.

Hundreds of people looked on as airport construction finally got underway in Daxing district, in the south of Beijing.

Talk of a new airport at the site has been going on for more than two years, but on December 15, 2014, the project was officially given the go-ahead by the National Development and Reform Commission. The airport is being built in Daxing district, in between townships of Yufa, Lixian and Langfang in Hebei Province. It is reported that when built, the airport will be able to handle 72 million passengers and 620,000 flights per year.

A new airport subway line will also be built connecting the airport to the city, with transfers to other existing subway lines as well. There are plans to construct highways and railways to accommodate the projects.

The Civil Aviation Administration of China said the new airport railway will come online in 2019. The construction of highways and inter-city railways will make it possible for Beijing residents to travel to other major cities within two hours.

The construction of the airport is in line with governmental policies to develop the Beijing, Tianjin and Hebei Province area as a whole. As the rest of Beijing becomes saturated, the government hopes to divert more population and industries towards the south of the city.

Rising demand

The most immediate effects of the projects, however, lie with real estate. Even though airport construction only started a few months ago, housing prices in the area have soared.

Local media reported that in 2013, houses in the area went for 5,000 yuan per square meter. But right now, an Internet search shows that housing prices have almost doubled.

Housing agencies have started advertising online as well, many trying to persuade potential buyers with slogans such as "Living next to the airport, enjoying high-end living styles," but also noting on the ads that the expected move-in date will be somewhere from 2015 to 2017.

Mike Ma, a 26-year-old Beijing resident, recently bought a house in a newly developed apartment compound in Suncun, Daxing district. The compound is one of many that have sprung up since the government started pushing development in the district. He expects to move in by the end of 2015.

The house owners in his compound are a mixture of locals and people from outside of Beijing. While he bought the house because he might be transferred to work at the new airport later on, he suspects many bought their houses as an investment.

Personally, he feels Daxing isn't the most ideal place to live, because right now it still lags behind the rest of the city in education and healthcare resources, but he believes it was a good investment nonetheless.

"The government's policy is leaning towards developing the south part of Beijing, so in the future either renting or selling my apartment would be a good choice too," he said.

The airport is predicted to bring economic benefits for Beijing, as part of a bigger scheme to unite the Beijing, Tianjin and Hebei Province areas.

As construction started with the new airport, the Beijing Capital International Airport company and Beijing Jiaotong University co-published a report in which experts predict the construction and initial operation phases of the airport could create more than a million jobs. In the next 30 years, the airport will contribute more than 2.2 billion yuan to Beijing's GDP, the report said.

Media reported that the new area, centered on the new airport, will at least hold 1.5 million people. It will be a factor in reducing the economic gap between south and north Beijing, observers said.